Dunkin' wants to grab the Starbucks market and launch cheaper espresso

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Dunkin‘ Brands Group Inc. (DNKN) is trying to challenge its rival Starbucks (58.06, -0.75, -1.28%) by offering lower-priced products on Starbucks 'signature high-quality espresso.

The Canton, Massachusetts-based chain said Wednesday that the biggest changes on its beverage list since it began offering espresso through simple machines 15 years ago are upgraded lattes, cappuccinos and Americanos.

Dunkin wants customers to think its coffee is cheaper than Starbucks coffee and just as good. The company dropped the word "Donuts" from its name last month and encroached on Starbucks territory by selling cold coffee in its stores and bottled iced coffee in grocery stores.

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